Profits In Southeast Asia

Given the prevailing position, Western analysts say the constant increase in the cost of the final product, leading to a gradual alignment of prices on the PCB. Interestingly, the company's Southeast Asia, who captured the U.S. market with dumping prices, now complain of a strong decline in profits. We now turn to the domestic industry of the PP. According to Western analysts, the growth of the PP in 2005 will amount to 6-7% and is estimated to be 88.4 PP dm2 million a year. To explain this increase can be the emergence of new industries, as well as re-equipment of old. However, according to our estimates, the estimated need for Russia in the PP is 140-160 million per year dm2. Based on these data, we can conclude that up to 40% of boards now made abroad, mainly in Southeast Asian countries.

Against the background of overall growth in Russian production of PP may be noted the relative decline of the defense industry sector: in 1998 he held 80% of total production, now – no more than 60%. On the majority of Russian enterprises capacity utilization is 30-40%. This is mainly due to the fact that technological equipment is outdated both morally and physically. The average age of regular piece of equipment is 15 years. A sad fact is that the typical Russian-made PP technology behind the world for at least five years. Here is one more interesting figure – the consumption of electronics in the country. Market, which can calculate the electronics industry, is, according to various estimates, about $ 5 billion per year, which underlines the importance of the industry.